History examination and analysis of Marks and Spencer

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Marks & Spencer Plc started in a stall in 1884 by Michael Marks in a Leeds market after which he was joined by a partner Tom Spencer. They both had a reputation of selling only British made goods in the 20th century, a policy discontinued in 2002.Marks & Spencer Plc is seen as the British Retailer that sells clothes, gifts, home furnishing and food formerly under the name of St. Michael but rebranded as Marks & Spencer in United Kingdom, Europe, Far East and the Americas. Marks & Spencer Plc has made itself widely known in the UK with over 450 stores and its largest store at Marble Arch, London.

By 1975 they had moved to Europe and Canada where they are fully established. Marks & Spencer Plc which initially functioned under the name St Michaels had an unlimited time period on their return policy as long as the customer could produce a receipt, this policy was later reviewed to 90 days in 2005 and a further review to 35 days in 2009. Marks & Spencer Plc returns policy is seen as the most generous on the British High Street. By the end of the 1990s Marks & Spencer Plc had a problem as their profit plunged because of the rising cost of using British Suppliers as rival retailers were importing their goods from lower cost countries and also because of the fact that Marks & Spencer Plc did not accept other credit cards except their store cash cards amongst a host of other reasons. During their downturn period, Marks & Spencer Plc refused to budge in switching to overseas low cost suppliers as it was seen as a n act which undermined a core part of its appeal to the public. All these factors constituted to Marks & Spencer Plc sudden slump which caught the company, its shareholders, retail stores and the general public by surprise as not only did their share price fall more than two thirds of the original market price so also did their profit.

In 2001 with drastic changes in its business focus such as accepting other credit cards, introduction of new range like 'per una', 'indigo' etc, reengineering of its business model and strategy, restructuring and redesigning their store, providing adequate changing room etc, Marks & Spencer Plc fought its way back into the UK market.

Source: http://corporate.marksandspencer.com/aboutus/ourhistory

4.1 The impact of an organisation structure on the management of human resources

An organisational formation consists of performance such as job sharing, management and control, which are concentrating toward the success of company aims. It can also be measured as the viewing glass or viewpoint through which individuals see their organisation and its environment. (Jacobides 2007)

An organisation can be structured in many different ways, depending on the objectives. This structure of an organisation will determines the models in which it operates and performs. It also allows the expressed allocation of responsibilities for different function and processes to different entities such and the branch, department, workgroup and individual.

Marks and Spencer organisation structure

The change within Marks and Spencer has produced a business that now has a praise company formation. The industry lost an amount of layers of power during a course of delaying. This states that workers during the business have more responsibilities. This helps them to make fast decisions or solution when necessary. At the same time, these workers have more responsibility than before. This means that they must be ready to give explanation and give reason for the decisions that they take.

People: Marks and Spencer consider the people as part of the organisation. There can be the management, managers, staffs, shareholders, customer, and public. Marks and Spencer make sure that the people around the community are kept inform about the organisation plans. They also try to provide the public and some of their customer a half price team to increase the customer relationship and get in a good team with the public for been close to them. They provide shelter to those good customers who are in needs and also give the people a good sale prices. Their workers are been treated in a good and friendly way in the sense that they are allow to share their opinion with the management on how to improve sales. Their shareholders are been informed about the inflow and outflow of the organisation and the dividends of the shareholders are the regular financial returns to shareholder. When the organisation earns a profit, it is put to two uses: either reinvested in the business or paid to the shareholder as a dividend.

Culture: The organisation structure can create an impact in the behaviours and beliefs of a workplace. A structure appropriate to the organisation helps to develop a healthy culture.

Projects: Marks and Spencer structure impacts the success of the organisation projects. If the plan workers also carry out routine functioning works, it may be hard for them to centre on projects and meet schedules. If the current information across section is complicated, it may concern the ability to shares funds successfully.

Communication: Marks and Spencer old rigid structure has affected the organisation in so many area the employees and various department within the organisation didn't have good communication among themselves. The new flatter structure has helps their communication to be easily pass across to various departments. It also helps to develop the organisation.

Job satisfaction: The organisation structure will help foster more feelings of self actualisation and produce less worry in employees. This will help increase job fulfilment.

Source: http://www.ehow.com/facts_5817157_impact-organizational-structure.html

Organisation structure of Marks and Spencer

Robert Swannell (Chairman)

Appointed in October 2010. Robert has used up more than 30 years in savings banking with Schroder's/citigroup. He was formerly vice chairman of citi Europe and co-chairman of city's European investment bank. Robert has a wide board experience and he is a capable chartered accountant and barristers.

Sir David Michels (Deputy Chairman)

Appointed in march 2006. David is Deputy Chairman of the appointment team and senior free director. He is member of the audit and reward committees independent.

Marc Bolland (chief executive)

Appointed in May 2010. Marc began his career at Heineken NV in the Netherland in 1987, occupying several market and sale management roles. He has a wide board experience and is the chief executive of M&S.

Alan Stewart (chief finance officer)

Appointed in October 2010. Alan has extensive of retail and other high competitive industries, including travel and banking. He has a wide board knowledge and he is the chief finance officer of M&S.

Kate Bostock (executive director, General merchandise)

Appointed in March 2008. Kate joined M&S in October 2004. Formerly, Kate was creation manager for children's wear at Next from 1994, before moved to Asda in 2001 as product leader for the George Global Brand. She was in charge for the lunch of the standalone George Concept and the lunch of the George Brand Globally. She is now the executive director and general produce of M&S.

Steven Sharp (executive director, marketing)

Appointed in November 2005. Steven joined M&S in May 2004. He is a fellow of the chartered institute of marketing, the marketing society and the royal society of arts, as well as a visiting professor of Glasgow Caledonian University. He is now the executive director, marketing of M&S.

John Dixon (executive direction, food)

Appointed in September 2009. John began his M&S career in UK store management before moving to Paris for three years where he held a variety of commercial roles in European stores and the Paris head office. In 2004 John was appointed executive assistant to the CEO, Stuat Rose. In 2007 he became director of M&S. He was appointed the Director of food in 2008.

Jeremy Darroch (non executive director)

Appointed in February 2006. Jeremy is chairman of audit committee. He is qualified as a chartered accountant with Delotte Haskins and Sell. He is a member of the nomination committee independent.

Steven Holliday (non executive director)

Appointed in July 2004. Steven is chairman of the reward group. He is a member of the audit and nomination committee independent.

Martha Lane Fox (non executive director)

Appointed in June 2007. Martha is the UK digital winner and a non management manager of channel 4 television. She is a member of the audit, remuneration and nomination committee.

Lousie Pattern (non executive director)

Appointed in February 2006. Louise is a non executive director of Bralford and bingley plc and a sernior adviser to Bain and co. She is a member of Nomination, compensation and audit committee independent.

Jan Du Plessis (non executive director)

Appointed in November 2008. Jan is chairman of Rio tinto plc, having been a non executive director on its board since September 2008. He is a associate of the Audit, compensation, and audit group independent.

Amanda Mellor (group secretary and head of corporate governance)

Appointed in July 2009. Amanda joined M&S in 2004 as head of investor relations. Prior to joining M&S worked for corporate communication consultancy Holloway and associate. She has much experience.

Source: http://corporate.marksandspencer.com/aboutus/our_people/board

Task 4.2

The organisation culture has help Marks and Spencer to get the best workers and provide the best customer service that is required in the organisation.

Marks and Spencer recognise that whatever job you do or any level you are at, you need to hit a balance between your work like and your home life. So they have created a range of initiative to help their employee to do just that. They have developed to support their employee throughout career and many go way beyond their legal obligation as an employee. They provide their employee with flexible working hours, support the working parents, and give advice to the employees.

Flexible working:

Marks and Spencer offer a variety of options for flexible running, be it part-time work, job partaking or team-time running. They also offer maintained for staff wishing to learn or to take a complete break with the profession break scheme of up to nine months unpaid leave.

Support working parents:

Marks and Spencer also make out the importance of the family and the need to support working parents in ways that help them balance their work and family lives. They also make sure that both present and new mums and dads get all the assist and maintain their need.

They give holiday for antenatal midwife, health visitor and parent craft classes as well as maternity pay and leave. The job-related health team is always present to carry out health checks any time before and after birth, including risk assessments where appropriate.

Support worker by giving advice:

Marks and Spencer believes that there may be time when their staffs would appreciate advice or help in dealing with a personal position either at home or work. They provide help line services of an independent 24hour classified helpline employed with advisors who are taught to pay attention and take action. The help line can offer aid counselling advise and debt or general counselling advise on credit or monetary trouble, legal trouble, abuse, relationship problems and state payback.

Source: http://corporate.marksandspencer.com/mscareers/rewards_benefits/lifestyle_options

Task 4.3

How the effectiveness of human resources management is monitored in an organization:


The process of Marks and Spencer recruitment has help them employ the right people. The teams deal with all stores and head office recruitment. Their process of application is received by post, telephone and online.


M&S human resources help to manage the company payroll, and the teams support them in staff discount scheme and company cars.

Learning and development:

M&S want their people to enjoy their work and get all the skill they required to fo their job properly. They offer department training and performance coaching and regularly assess of the people's development needs to ensure everyone has the support to achieve their potential.

Training within stores:

The majority of the training of M&S present to their shops teams is on the job. It helps them study in real existence situations, where they have benefit of their support in the areas needed. Their segment managers also accept precise education on stock managing powerful sales and motivating their team.

Rewards and benefits:

MS& ensure that their staffs are been reward for their efforts in the organization. They provide a benefit package which was develop by the team to help them attract, motivate and retain their greatest group in retail and includes everything from subsided healthcare and presentation related pay rewards to their incredible worker discount.

Employee discount:

Marks and Spencer give 20% discount to their employee for everything they buy in any stores they go to. (Excluding technology and certain kitchen electrical product) They also provide partners' or family of their employee with a card so they can gain from the reduction too. And there is no limit on the total of goods you can purchase with price cut.

Employee bonus:

The annual bonus system is open to all staff of M&S in head office and retail management. Plus targets allied to team and business performances. The extra system is open to new staff from the date they join the organization and they will be qualified for a balanced bonus, based on the number of full strainer and where suitable withdraw the system each year.

Source: http://corporate.marksandspencer.com/mscareers/rewards_benefits

Task 4.4

Recommendations to improve the effectiveness of human resources management in a company:

Excellent human resource management is important to retain staff and maintain a high overall level of presentation within fitness of the organization. Successful HRM is one of the key structure blocks of a complete HRH strategy. An approachable human resource management system can assist to ensure that employees identify what they are supposed to do, get timely response, feel valued and appreciation, and have opportunities to learn and grow on the job

The primary goals of Marks and Spencer management have to be an integrated relationship between human resources management and the core business to successfully implement change.

Human resources management in the organization is concern with how the resources and people are been managed, control, and motivated to create competences in those activities and business process needed to run the business. (Huang 2001)

Marks and Spencer is acquiring, retaining and developing human resources to make sure that the employees and their customer get the best services they want. Human resources management is concerned with ensuring that this baseline is maintained in the strategies goal setting and performance assessment of individual and teams. The use of rewards, recruitment as a key to improve the organization objective and training would assist the organization management in delivering about a better change.

Suggested ways of improving the effectiveness of Human Resources:

Build a foundation: It's essential to build a hard base for your staffs so they feel invested in the organization. Tell them about the past of the business and your image for the future. Ask them about their opportunity and profession goals, as well as how you can help them sense part of the team. When any new worker starts, make sure he or she go thorough welcome orientation.

Create a positive environment: Encourage an office feeling that makes all staffs feel useful and important. Don't co-operate favorites with your employees. Maintain office doors open and let individuals know they can always get to you with questions or concerns. A pleased office is a creative office.

Put people on the right path: Most staff is looking for progression opportunities within their own organization. Work with each of them to increase a career development plan that takes into thoughtfulness on both their current skills and future goals. If workers become excited about what's behind the road, they will put focus in their current work.

Educate the masses: Help staffs to improve their skilled skills by providing on-the-job teaching or in-house career improvement. Allow them to be present at workshops and seminars connected to the business. Support them to attend adult teaching classes paid for by the organization. Staff will feel you are investing in them, and this will convert into a better job presentation.

Don't disregard the excitement: Once in a while you have put job away and do exciting things for the people who work for you. Treat the office to a pizza lunch or take everybody to the movie theater. Reward workers with an unpredicted day off or by closing the office early on a random Friday afternoon.

Recognize assistance: You can make a huge distinction in employee morale simply by taking the time to make out each employee's support and behavior, big or little. Be kind with praise.

Provide incentives: Offer people incentives to carry out well, either with something small like a gift certificate or something more considerable such as a performance-based bonus or income raise. Give out 'Worker of the Month' awards. Such tokens of gratitude will go far in motivating workers.

Respect your promises: Making group to give their all requires following through on promises. If you tell a worker that he or she will be measured for a bonus if numbers progress or production increases, you'd better put your capital where your mouth is. Failure to follow through on promises will result in a loss of trust -- not only that person's trust, but the confidence of every worker that hears the story.

Provide career education: Help workers reach the next level efficiently by providing on-site education. Bring in professionals to give one-on-one analysis, which can help group study how to defeat personal or qualified obstacles on their career paths.

Equal tasks to talents: You can develop worker incentive by improving worker self-confidence. Allocate persons with everyday jobs you know they will enjoy or will be participate good at. A worker who is doing well at one thing will have the confidence to engage in other projects with changed power and pleasure.

Source: http://www.allbusiness.com/human-resources/employee-development-employee-productivity/11136-1.html